Lennox International Joins S&P 500

Investing.com – Air conditioning maker Lennox International Inc (NYSE:LII) will join the S&P 500 from next week, as announced by S&P Dow Jones Indices on Wednesday. This news has caused Lennox's shares to increase in aftermarket trading.

Lennox will take the place of Catalent (NYSE:CTLT), a biotechnology firm, after Novo Holdings completed its acquisition of the company this week. This change will take effect on December 23.

Following the announcement, Lennox shares rose about 3%. Currently, the stock is part of the S&P Midcap 400, which now will be replaced by Bill Com Holdings Inc (NYSE:BILL), a financial software maker.

Bill surged more than 6% in aftermarket trading after the announcement.

Catalent's exit from the S&P 500 is anticipated to attract more capital flows into the stock, particularly from exchange-traded funds as they adjust their holdings.

Lennox has seen a nearly 45% increase in trading so far in 2024, compared to a 23.8% rise in the S&P 500.

Inclusion in the S&P 500 is based on key criteria, including a market capitalization of at least $18 billion and positive earnings for the most recent quarter.